Your monthly energy bill reflects your energy consumption and the rates you are paying. You can use a Utility Bidder to find the best energy provider for the rates you need. Your energy bill has a lot of information that can be confusing, and on the second page, you will find the ‘total usage’ section. You will be charged for your energy consumption based on one of these four tariffs.

1, Standard Variable Tariff:

The standard variable tariff has the most expensive rates for an energy provider because it is their most basic offer. Consumers on a standard variable tariff are in a rolling contract which means they can exit the contract at any time. The cost cap is there, but it can change quarterly.

2, Tracker Tariff:

Consumers on a tracker tariff can expect their energy costs to fluctuate in coordination with wholesale prices. Consumers will not get any prior notifications for the price changes.

3, Staggered Tariff:

A staggered tariff is set out for a fixed-term deal. Energy prices will only increase on specific dates. Consumers will not get any prior notifications when the prices increase.

4, Fixed-Rate Tariff:

Energy prices for consumers on a fixed-rate tariff can not increase unless the government increases the VAT.

What Is An Exit Fee?

An exit fee or cancellation fee applies to energy tariffs with a fixed price and end date. Consumers will need to pay an exit fee if they discontinue a fixed-term tariff before the end of the contract. Consumers do not need to pay an exit fee if there are 49 days or less remaining in their contract. In most cases, your energy provider will contact you within 42-49 days before your contract is about to expire.

The last 49 days of your contract are there for you to decide whether you want to continue with your current provider or switch to a different provider. You should complain to your current provider if you have been charged an exit fee within the last 49 days of your contract.

Questions Related To Exit Fees & Switching Energy Providers

Q. 1: Will I be charged an exit fee if I move to a different location?

1. 1: Consumers that move to a different location only need to update their address with their current energy provider. Your current energy provider cannot charge you an exit fee for moving to a different location. Consumers that change their energy provider at the new address might have to pay an exit fee.

Q. 2: Can I switch to a new supplier if I owe money to my current supplier?

1. 2: Your current energy supplier can prevent you from changing to a new supplier until you clear your dues with them. Your current energy supplier must inform you in writing that it will stop the switch from occurring. Consumers that pay their remaining dues within 30 working days from the date they receive this information can switch to the new provider.

Q. 3: What if I want to switch back after switching to a new provider?

1. 3: There is a 14-day cooling-off period for consumers that step into a new agreement. During the first 14 days, consumers can leave penalty-free, but they must pay for the energy they have used during this period with the new provider.